Walmart Inc (WMT)
Quick ratio
| Jan 31, 2024 | Jan 31, 2023 | Jan 31, 2022 | Jan 31, 2021 | Jan 31, 2020 | ||
|---|---|---|---|---|---|---|
| Cash | US$ in thousands | 9,867,000 | 8,625,000 | 14,760,000 | 17,741,000 | 9,465,000 |
| Short-term investments | US$ in thousands | 8,449,000 | 11,169,000 | 12,888,000 | 14,422,000 | 5,438,000 |
| Receivables | US$ in thousands | 8,796,000 | 7,933,000 | 8,280,000 | 6,516,000 | 6,284,000 |
| Total current liabilities | US$ in thousands | 92,415,000 | 92,198,000 | 87,379,000 | 92,645,000 | 77,790,000 |
| Quick ratio | 0.29 | 0.30 | 0.41 | 0.42 | 0.27 |
January 31, 2024 calculation
Quick ratio = (Cash + Short-term investments + Receivables) ÷ Total current liabilities
= ($9,867,000K
+ $8,449,000K
+ $8,796,000K)
÷ $92,415,000K
= 0.29
The quick ratio of Walmart Inc has displayed fluctuating trends over the past five years. The ratio was the lowest at 0.27 in January 31, 2020, indicating weaker short-term liquidity position, and improved gradually to 0.42 in January 31, 2021. However, there was a slight decline in the quick ratio to 0.41 in January 31, 2022, and further decreased to 0.30 in January 31, 2023. The latest data as on January 31, 2024, shows a quick ratio of 0.29.
A quick ratio below 1 typically suggests that the company may have difficulty meeting its short-term obligations using only its most liquid assets. The decreasing trend in Walmart Inc's quick ratio in recent years may raise concerns about its ability to cover immediate liabilities with its quick assets. Further analysis of the company's current assets, particularly its cash and accounts receivable, is recommended to assess its liquidity position more thoroughly.
Peer comparison
Jan 31, 2024